Guide to ITR and Sahaj, Sugam tax forms to help you identify which ITR form to pick for filing your tax return for FY 2012-13.

Income Tax department has unveiled the income tax return forms for the Assessment Year 2013-14. The main intention has been to simplify the ITR forms and make them user friendly.

SAHAJ and SUGAM are the first technology enabled Tax Payer Friendly Forms in the country. “Sahaj'' and ''Sugam'' aimed at reducing compliance burden on salaried persons and small businessmen. While Sahaj is for salaried people, Sugam return form is applicable for small businessmen and professionals covered under presumptive taxation.

Benefits of SAHAJ and SUGAM Forms are listed below

Simpler and Tax Friendly forms

Enhanced Accuracy in processing

Cost Optimization

Automation and Harnessing Technology

Implementation of International best practices

Increased Transparency

Simplicity in record management system

Applicability of these forms depends on tax payer’s source of income. It is thus important to know the relevance of each of these forms.

ITR-1 Form

This Return Form is to be used by an individual whose total income for the assessment year includes:-

(a) Income from Salary/ Pension; or

(b) Income from One House Property (excluding cases where loss is brought forward from previous years); or

(c) Income from Other Sources (Excluding Winning from Lottery and Income from Race Horses).

Note: ITR1 can be filed only if Exempt Income (Section 10) is less than Rs. 5,000. Else, ITR2 needs to filed.

Further, in a case where the income of another person like spouse, minor child, etc. is to be clubbed with the income of the assessee, this Return Form can be used only if the income being clubbed falls into the above income categories.

ITR-2 Form

This Return Form is to be used by an individual or a Hindu Undivided Family whose total income for the assessment year includes:-

(a) Income from Salary / Pension; or

(b) Income from House Property; or

(c) Income from Capital Gains; or

(c) Income from Other Sources (including Winning from Lottery and Income from Race Horses)...

Further, in a case where the income of another person like spouse, minor child, etc. is to be clubbed with the income of the assessee, this Return Form can be used where such income falls in any of the above categories.

Note: Right click on the above
links and click on 'save link as' to save it on your computer.

ITR-3 Form

This Return Form is to be used by an individual or an Hindu Undivided Family who is a partner in a firm and where income chargeable to income-tax under the head “Profits or gains of business or profession” does not include any income except the income by way of any interest, salary, bonus, commission or remuneration, by whatever name called, due to, or received by him from such firm. In case a partner in the firm does not have any income from the firm by way of interest, salary, etc. and has only exempt income by way of share in the profit of the firm shall use this form only and not Form ITR-2.

Sugam ITR (4S)

It is applicable for small businessmen and professionals covered under presumptive taxation. ITR-4S can be used for gross receipts up to Rs. 1 crore instead of Rs. 60 lakhs from AY 2013-14 onwards.

ITR-4 Form

This form is applicable, both, to Individuals and HUFs who carry out any business or professional activity in addition to having sources of income applicable to ITR-3.

ITR-5 Form

This Form can be used a person being a firm, AOP, BOI, artificial juridical person referred to in section 2(31) (vii), cooperative society and local authority. However, a person who is required to file the return of income under section 139(4) (a) or 139(4) (a) or 139(4) (b) or 139(4) (c) or 139(4) (d) shall not use this form

ITR-6 Form

This Form can be used by a company, other than a company claiming exemption under section 11.

ITR-7 Form

This Form can be used by persons including companies who are required to furnish return under section 139(4A) or under section 139(4B) or under section 139(4C) or under section 139(4D).

Comments

Comments

Prasad
said:

I have changed the employer in the month of March 2010 and have received both gratuity(Rs.11200/-) and Leave encashment(Rs.13300/-) in the month of April 2010. While filing the IT returns(ITR1) for the Assessment year 2011-12, there is no provision to enter these details as both of these components are exempted under section 10(10). Also, i should not enter this amount under the salaries head.In addition to this, i have earned interest income of approx. Rs.2000/- from my savings account in nationalized banks. Please let me know whether this interest amount is taxable or not.My income under the head salaries for the Assessment year 11-12 is 5.85Lakh. Please guide me in filing this It returns.